William Ellerbe

September 20, 2017 | FC&S Insurance

On March 1, the Pennsylvania Commonwealth Court ordered the liquidation of affiliated long-term care insurers Penn Treaty Network America Insurance Co.…

By William Ellerbe

8 minute read

August 30, 2017 | The Legal Intelligencer

On March 1, the Pennsylvania Commonwealth Court ordered the liquidation of affiliated long-term care insurers Penn Treaty Network America Insurance Co. (PTNA) and American Network Insurance Co. (ANIC) (collectively, Penn Treaty). Penn Treaty, which sold long-term care insurance policies for decades, had been placed into rehabilitation in January 2009 by the Pennsylvania insurance commissioner. The liquidation order followed years of litigation and efforts to rehabilitate the company. According to filings in the case, as of May 2016, the PTNA arm of Penn Treaty was insolvent by $3.82 billion and would run out of assets in 2018; with ANIC added, the total insolvency of Penn Treaty was an estimated $4.33 billion. (See In re Penn Treaty Network American Insurance, Doc. No. 1 PEN 2009, Verified Pet., July 17, 2016; In American Network Insurance, Doc. No. 1 ANI 2009, Verified Pet., July 17, 2016).

By William Ellerbe

8 minute read